Govt allows Maha road devpt body to use its land to raise funds

MUMBAI: The cash-strapped Maharashtra State Road Development Corporation (MSRDC) can now monetise its lands. The state cabinet on Tuesday waived off all taxes, premium, transfer fees on these parcels of land to create a source of funds for MSRDC.

MSRDC owns a plot on Napean Sea Road, besides vast tracts of land along the expressway and the old Mumbai-Pune highway, a state guest house at Latur and some prime properties in Pune city.

Sources said given the price of real estate, MSRDC would possibly become the third richest corporation in the state. The Mumbai Metropolitan Region Development Authority and the City Industrial Development Corporation have commercially exploited their lands to fund infrastructure projects.

RL Mopalwar, vice-chairman, MSRDC, said the land would be used as collateral while raising loans or will be monetised for marginal funding of projects. “We have appointed a consultant to prepare a plan on whether it should be commercially developed, or used for residential or entertainment purpose,” he said.

The cabinet note states rules will be first framed on how the land will be utilised, and that the money must be deposited in a nationalised bank and used only for capital expenditure. A five-member committee will monitor it.